Crypto - Where do we go next?
The crypto markets are holding steady, but where do we go next?
After a sharp selloff early last week, prices rebounded later in the week and are holding steady.
The total market cap is just over $200 billion currently and hanging in there:
(Source: https://coinmarketcap.com/charts/)
The last time prices went sideways for a few days, the bottom fell out.
Do we see similar price action again this time?
I am thinking no.
I am thinking no for several reasons, but one in particular is standing out when I look at several charts.
That being volume bars.
Take a look at this daily chart of Ether:
(Source: https://www.ccn.com/dropping-bitcoin-volumes-brings-minor-market-retreat-where-next/)
Pay special attention to those volume bars...
The bars are easily double or triple what they were just a few weeks prior and they are significantly higher than any other bars on the chart.
Do those look like possible bottoming bars to you?
They certainly do to me.
You often see out sized volumes at tops and even more so at bottoms.
The volume we have been getting this past week certainly looks like what we would expect to see during a market bottom.
Another technical indicator to watch is that MACD indicator.
As you can see it is starting to cross as well, which is considered a bullish technical signal.
Mostly though, just look at those volume bars down at the bottom.
Take a look at some older charts and look at the the volume bars at the bottom, you'll see something similar to what we are seeing right now at the bottoms on the charts.
Stay informed my friends.
Follow me: @jrcornel
Consult the Magic 8 Ball 😂😬😂
What did it say?
With all the pressure building, if this isn't the bottom then we will be seeing instant price action.
We will go to sleep, and when we wake up, everything will have an extra zero behind it. (or two)
That would be nice. Though when we are sleeping other parts of the world are not. So, which group goes to sleep and which group makes it happen?
Hope so.
I think the market will continue to get some assets that will capitulate and recover to lead the overall market higher while some will also not recover and just disappear ultimately given failed projects. However, this is normal in a market cycle and will lead to winners and losers and the start of assets to not necessarily correlate so directly with bitcoin alone.
As soon as major exchanges have many coins priced in fiat terms instead of bitcoin terms I think that correlation breaks. We are starting to see some of this being built out now.
Looks like a short term bear.
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Good article ! You are very inteligent person
In my opinion bitcoin will going slowly to 10k-12k $
Im not liking whats happening to be very honest.. #FingersCrossed
I agree with you. With all the things that are happening I really think we are soon headed upwards. Won't that be a relief.
there is a lot of this going around, the sentiment is changing...
It might indeed be the turning point. An ETF decision (not talking about the merit of that) might be a catalyst to send it on its way up.
Same for the OTC markets right now, no one is selling and there are gigantic orders open
I am slowly closing my short positions as well and taking some low leverage longs
Nice. What were you short and what platform were you using to short?
i use bitmex for now but am considering deberit
and I was shorting BTC/USD. been taking advantage of the swings lately (not enough but got a nice profit out)
@felander have you considered trade.io? It's one good exchange with a customizable interface, though new and they are currently charging zero fees on transactions. Been working very well so far for me.
do not know them, will have a look, thanks for the tip
ETF will decide to be accepted or rejected next march is i heard
End of September is the next comment date for the SEC.
Ahh I was looking into which indicators would tell me if these recent movements meant strength or weakness. Thank you so much!😁
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